Currently, Victoria is the only state in Australia where motorists have to pay their annual vehicle registration fees in one lump sum (excluding concession card holders) with other states and territories offering three or six month payment options.
The VACC is asking the Victorian Government to enable the state's road body, VicRoads to introduce a six month payment option in time for next month's state budget.
"An up-front, lump sum puts pressure on the household budget. For example, the total fee payable for renewing a light motor vehicle registration in Victoria is typically $516.60, $567.20 or $612.30, depending on the postcode. They are big hits to have to pay in one go," said Mr Purchase."We recommend that the Government considers an alternative and user-friendly method of payment. We propose a six month payment option for vehicle owners which we believe will help spread the financial burden,"Australians already have various options to pay for other essential goods and services. Mortgages, rates, utilities, motor finance and insurance are all available at monthly, quarterly or half-yearly installments,"It is not as if the infrastructure and technology are not available, after all, concession card holders in Victoria are entitled to a half yearly payment option,"A flexible payment scheme would also be in line with other States. ACT and South Australia even offer payments in three month chunks. Why should Victorians miss out?"Variable payment options will also have a benefit for the local economy. Licensed Motor Car Traders (LMCTs), registering cars, motorcycles, or commercial vehicles on behalf of consumers, or for stock, could choose to pay a six month fee,"Currently, payment of a twelve month fee represents a cost unlikely to be recovered as the vehicle is not held for that length of time. Options for a shorter term of registration and payment would improve cash flow and be a more equitable outcome,"VACC considers a six month vehicle registration payment option to be viable and workable. We call on the Victorian Government to include this in the State Budget, on May 4."
Vehicle registration payment options in other states & territories:
- ACT: 3, 6 or 12 months
- NSW: 6 or 12 months (depending on payment method)
- NT: 6 or 12 months
- QLD: 6 or 12 months (depending on engine size)
- SA: 3, 6, 9 or 12 months
- TAS: 6 or 12 months (passenger/light commercial) 3, 6 or 12 months (heavy vehicles)
- VIC: 12 months (concession card holders have 6 month option)
- WA: 6 or 12 months